FORMULATION TACTICS AND THE SUCCESS OF ORGANIZATIONAL DECISION-MAKING

One hundred and seventy-seven cases profiling organizational decisions were analyzed to determine how managers carry out formulation as they initiate a decision-making process. Analysis revealed that formulation was carried out by applying problem, idea, target, and reframing tactics. Decision adoption rates, decision value, and time to carry out the decision-making process were used to determine the success of these tactics, controlling for situational effects of importance, urgency, resources, and management level. Reframing was found to be the most successful tactic under all conditions, but was the least frequently used by decision makers. Problem and idea tactics were the least successful and success did not improve with additional resources, but these tactics were used more often than the other tactics. Problem tactics were even less successful when applied to urgent and important decisions. Target tactics were surprisingly effective for crises and important decisions. Decision makers seem prone to use ineffective formulation tactics and give little consideration to the opportunities or constraints imposed by the situation as a tactic is selected.